Is Consolidated Edison (ED) Fairly Priced After Recent Share Price Stability?

Simply Wall St.04-29 13:06

Wondering if Consolidated Edison at around US$109.62 is offering fair value right now, or if the price is out of line with the fundamentals. The stock has returned 1.3% over the last 7 days, while the...

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The stock has returned 1.3% over the last 7 days, while the...</p>\n\n<a href=\"https://simplywall.st/stocks/us/utilities/nyse-ed/consolidated-edison/news/is-consolidated-edison-ed-fairly-priced-after-recent-share-p\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Is Consolidated Edison (ED) Fairly Priced After Recent Share Price Stability?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nIs Consolidated Edison (ED) Fairly Priced After Recent Share Price Stability?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-04-29 13:06 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/utilities/nyse-ed/consolidated-edison/news/is-consolidated-edison-ed-fairly-priced-after-recent-share-p><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Wondering if Consolidated Edison at around US$109.62 is offering fair value right now, or if the price is out of line with the fundamentals. The stock has returned 1.3% over the last 7 days, while the...</p>\n\n<a href=\"https://simplywall.st/stocks/us/utilities/nyse-ed/consolidated-edison/news/is-consolidated-edison-ed-fairly-priced-after-recent-share-p\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU2346227817.USD","symbol_name":"BGF SUSTAINABLE GLOBAL INFRASTRUCTURE \"A2\" (USD) ACC","start_time":0,"source_url":"https://simplywall.st/stocks/us/utilities/nyse-ed/consolidated-edison/news/is-consolidated-edison-ed-fairly-priced-after-recent-share-p","article_id":"2631653865","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/9541000-choice1-main-header/1585186737623"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/utilities/nyse-ed/consolidated-edison/news/is-consolidated-edison-ed-fairly-priced-after-recent-share-p","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2631653865","pubTimestamp":1777439175,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"Wondering if Consolidated Edison at around US$109.62 is offering fair value right now, or if the price is out of line with the fundamentals.\nThe stock has returned 1.3% over the last 7 days, while the 30 day return is a 1.8% decline, set against a 9.6% return year to date and 1.0% over the past year.\nRecent coverage has focused on Consolidated Edison as a regulated utility with a long operating history and a role in essential power and gas infrastructure, which helps frame how investors...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU2346227817.USD":"BGF SUSTAINABLE GLOBAL INFRASTRUCTURE \"A2\" (USD) ACC","ED":"爱迪生联合电气","BK4208":"复合型公用事业","BK4588":"碎股","BK4585":"ETF&股票定投概念","LU0170899867.USD":"EASTSPRING INVESTMENTS WORLD VALUE EQUITY  \"A\" (USD) ACC","DDM":"2倍做多道指ETF-ProShares"},"translate_title":"近期股价稳定后，联合爱迪生(ED)的定价是否合理？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"ED":1.5,"DDM":1},"content_text":"Wondering if Consolidated Edison at around US$109.62 is offering fair value right now, or if the price is out of line with the fundamentals. The stock has returned 1.3% over the last 7 days, while the 30 day return is a 1.8% decline, set against a 9.6% return year to date and 1.0% over the past year. Recent coverage has focused on Consolidated Edison as a regulated utility with a long operating history and a role in essential power and gas infrastructure, which helps frame how investors think about its stability. Other commentary has highlighted how changes in interest rate expectations and income focused investing have kept attention on dividend paying utilities like Consolidated Edison. On Simply Wall St's valuation checks, Consolidated Edison scores 2 out of 6. This raises the question of how different valuation methods, and a more complete framework later in this article, might change your view of what the stock is really worth.  Consolidated Edison scores just 2/6 on our valuation checks. See what other red flags we found in the full valuation breakdown. AdvertisementApproach 1: Consolidated Edison Dividend Discount Model (DDM) Analysis The Dividend Discount Model estimates what a stock might be worth by projecting future dividend payments and discounting them back to today. As a result, the focus is squarely on dividend sustainability and growth. For Consolidated Edison, the model uses a current dividend per share of about US$3.80, a return on equity of 8.58% and a payout ratio of roughly 58%. Simply Wall St caps the long term dividend growth rate at 3.41%, slightly below the 3.59% figure implied by the inputs, with an expected growth rate of 3.59% used in the broader analysis. Based on these dividend assumptions, the DDM output suggests an intrinsic value of around US$106.50 per share. Relative to the recent share price of about US$109.62, this implies the stock is around 2.9% overvalued. This is a very small gap and within a reasonable margin of error for any model. Result: ABOUT RIGHT Consolidated Edison is fairly valued according to our Dividend Discount Model (DDM), but this can change at a moment's notice. Track the value in your watchlist or portfolio and be alerted on when to act. ED Discounted Cash Flow as at Apr 2026 Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Consolidated Edison. Approach 2: Consolidated Edison Price vs Earnings P/E is a common way to value profitable companies because it directly links what you pay for each share to the underlying earnings that support that price. In general, higher growth expectations or lower perceived risk can justify a higher P/E, while slower growth or higher risk usually call for a lower, more conservative multiple. Consolidated Edison currently trades on a P/E of about 19.96x. That sits close to the Integrated Utilities industry average P/E of 19.08x and just below the peer group average of 20.80x. Simply Wall St also calculates a proprietary “Fair Ratio” for Consolidated Edison of 23.53x, which reflects factors such as its earnings growth profile, industry, profit margins, market cap and specific risks. This Fair Ratio is designed to be more tailored than a simple comparison with industry or peers, because it adjusts for the company’s own characteristics rather than assuming all utilities deserve the same multiple. Comparing the Fair Ratio of 23.53x to the current P/E of 19.96x suggests the shares are trading below the level implied by that framework. Result: UNDERVALUED NYSE:ED P/E Ratio as at Apr 2026 P/E ratios tell one story, but what if the real opportunity lies elsewhere? Start investing in legacies, not executives. Discover our 18 top founder-led companies. Upgrade Your Decision Making: Choose your Consolidated Edison Narrative Earlier it was mentioned that there is an even better way to understand valuation, so here is Narratives, a simple way for you to set out the story you believe about Consolidated Edison, then tie that story to forecasts for revenue, earnings and margins, and finally to a fair value that you can compare with the current share price. A Narrative is your view of what really matters for the business, expressed through numbers, so it directly links the company’s story to a financial model instead of treating valuation as a black box. On Simply Wall St, Narratives sit inside the Community page, where millions of investors can quickly set assumptions, see the implied fair value and then compare it with the live market price to help decide whether the stock looks attractively priced or expensive. Narratives also refresh when new information such as earnings reports or news is added to the platform, so your fair value view can stay aligned with the latest data. For Consolidated Edison, one investor might build a Narrative that points to a higher fair value while another might arrive at a much lower figure, reflecting different expectations and risk views. Do you think there's more to the story for Consolidated Edison? Head over to our Community to see what others are saying! NYSE:ED 1-Year Stock Price Chart  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.New: AI Stock Screener & AlertsOur new AI Stock Screener scans the market every day to uncover opportunities.• Dividend Powerhouses (3%+ Yield)• Undervalued Small Caps with Insider Buying• High growth Tech and AI CompaniesOr build your own from over 50 metrics.Explore Now for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. 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